EIA expects 2018 and 2019 natural gas prices to remain relatively flat

U.S. Energy Information Administration -------- In its latest Short-Term Energy Outlook (STEO), EIA expects the Henry Hub natural gas spot price to average $2.88 per million British thermal units (MMBtu) in 2018 and $2.92/MMBtu in 2019, slightly lower than the 2017 average of $2.99/MMBtu. Lower prices in 2018 and 2019 reflect EIA’s expectation of increased natural gas production and relatively flat consumption. The confidence interval range for natural gas prices shown in the figure above is a market-derived range that reflects trading in New York Mercantile Exchange (NYMEX) futures and options markets and is not directly dependent on EIA's supply and demand estimates. The values for the upper confidence interval increase during the winter months compared with the rest of the year, reflecting the higher probability of an increase in natural gas consumption for space heating as a result of colder weather. To learn more click on the picture below to read the article.